Medical marijuana brings in $8.6M in taxes to LA

LOS ANGELES (AP) — Los Angeles has collected $8.6 million in business taxes from medical marijuana dispensaries over the past three years.

The city's finance director reported the figure the same week that officials began alerting business owners and real estate agents about the requirements of Proposition D.

That measure permits only about 100 registered pot dispensaries in the city, taxes them and restricts locations.

Officials say many more continue to operate outside the law.

Proposition D also increased the tax from $50 to $60 per $1,000 of gross receipts.

The Daily News reported Wednesday that since April 2011, the finance director has 1,400 tax registration certificates on file from dispensaries. The certificate signifies only that a business has registered to pay taxes. It is not a license or permit to operate.